AUX International Holdings Ltd. (2080) AI Stock Analysis

• Market Cap: HK$162.68M
• Dividend Yield: N/A
• Average Volume (3M): 668.20K
• Price to Earnings (P/E): 5.7
• Beta (1Y): 0.54
• Revenue Growth: -2.14%
• EPS Growth: 22.93%
• Country: HK
• Employees: 923
• Sector: Services
• Sector Strength: N/A
• Industry: Real Estate - Services
• EPS (TTM): 0.04
• Shares Outstanding: 492,984,000
• 10 Day Avg. Volume: 144,200
• 30 Day Avg. Volume: 668,200
• PEG Ratio: 0.14
• Price to Book (P/B): 0.43
• Price to Sales (P/S): 0.32
• P/FCF Ratio: 5.09
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: HK$0.34 ▲(2.42% Upside)

The score is driven by solid underlying financial stability and profitability (strong margins and low leverage), supported by an inexpensive P/E. These positives are tempered by clear technical weakness (price below key moving averages, negative MACD, low RSI) and the recent sharp revenue decline alongside weak operating cash conversion.

Positive Factors

High Gross Margin

A 72% gross margin signals durable pricing power or low direct costs across its investment and services mix. High gross margins provide a structural buffer against revenue volatility, enabling sustained reinvestment in portfolio companies and supporting long-term profitability even if top-line growth lags.

Low Financial Leverage

Very low leverage affords the company financial flexibility to fund new investments, support portfolio firms, or weather downturns without large interest burdens. This capital structure reduces bankruptcy risk and preserves optionality for strategic M&A or capital returns over the medium term.

Strong Free Cash Flow Growth

Nearly 200% FCF growth and FCF roughly matching net income indicate enhanced cash generation capacity. Durable FCF supports ongoing investment in high-growth portfolio companies, potential distributions, and balance-sheet strengthening, improving long-term financial resilience despite earnings volatility.

Negative Factors

Sharp Revenue Decline

A 41% revenue drop represents a meaningful erosion of the company’s top-line base, which can constrain scale advantages and limit long-term earnings growth. Persistently lower revenue reduces capacity to realize returns from investments and raises execution risk around rebuilding sustainable growth.

Weak Operating Cash Conversion

Converting only a small fraction of reported earnings into operating cash suggests earnings quality issues or timing mismatches in collections and payables. Structurally weak cash conversion undermines the reliability of profits to fund investments or distributions without drawing on balance-sheet buffers.

Uneven Financial Performance

The combination of high margins, low leverage, but steep revenue decline and poor cash conversion creates persistent uncertainty about the sustainability of earnings. This unevenness complicates capital allocation decisions and may require management actions to stabilize revenue and normalize cash flows.

AUX International Holdings Ltd. Business Overview & Revenue Model

Company Description

AUX International Holdings Limited, an investment holding company, engages in the operation of clubbing business, and restaurant and bar outlets in Hong Kong. The company owns and operates Zentral and Mini Club that provides private parties, corporate events, live entertainment, fashion shows, jewelry fair, filming location, and film premiere services. It also provides property management services to various types of properties in the People's Republic of China, including medium to high-end residential properties, as well as non-residential properties, such as office buildings, shopping malls, hospitals, and industrial parks; and trademark holding services. The company was formerly known as Magnum Entertainment Group Holdings Limited and changed its name to AUX International Holdings Limited in August 2015. The company was founded in 2007 and is headquartered in Wan Chai, Hong Kong. AUX International Holdings Limited is a subsidiary of Huiri Limited.

How the Company Makes Money

AUX International Holdings Ltd. generates revenue through multiple streams, including equity investments in high-growth technology and healthcare companies, which provide returns through capital appreciation and dividends. The company also earns income from strategic partnerships and collaborations with other firms, facilitating joint ventures and co-investments that allow for shared resources and reduced risk. Additionally, AUX may receive management fees from its investment activities, and any successful exits from portfolio companies can significantly boost its overall earnings. The company's ability to identify emerging trends and invest in promising sectors is critical to its revenue model, contributing to a sustainable and growing income base.

AUX International Holdings Ltd. Financial Statement Overview

Summary

AUX International Holdings Ltd. demonstrates a strong financial position with robust profit margins and low leverage. However, challenges in revenue growth and cash conversion need attention. The balance sheet is solid, providing a stable foundation for future growth.

Income Statement

AUX International Holdings Ltd. has shown a mixed performance in its income statement. The gross profit margin remains strong at 72.23%, indicating efficient cost management. However, the company has faced challenges in revenue growth, with a decline of 41.3% in the latest period. The net profit margin has improved to 7.23%, reflecting better profitability compared to previous years. EBIT and EBITDA margins are stable, suggesting consistent operational efficiency.

Balance Sheet

The balance sheet of AUX International Holdings Ltd. reflects a solid equity position with a debt-to-equity ratio of 0.17, indicating low leverage and financial stability. The return on equity is at 9.57%, showing a reasonable return for shareholders. The equity ratio is strong, suggesting a healthy balance between debt and equity financing.

Cash Flow

The cash flow statement shows significant improvement in free cash flow growth at 199.29%, indicating enhanced cash generation capabilities. However, the operating cash flow to net income ratio is relatively low at 0.08, suggesting potential challenges in converting income into cash. The free cash flow to net income ratio is high at 95.82%, reflecting efficient cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	331.10M	331.83M	367.81M	397.09M	357.24M	302.91M
Gross Profit	165.51M	239.69M	217.81M	244.71M	251.83M	216.49M
EBITDA	47.23M	52.21M	54.55M	82.65M	38.56M	31.81M
Net Income	24.00M	24.00M	16.72M	21.51M	12.30M	-8.62M
Balance Sheet
Total Assets	523.41M	523.41M	529.12M	537.74M	602.34M	447.25M
Cash, Cash Equivalents and Short-Term Investments	311.44M	311.44M	356.41M	286.44M	330.23M	227.20M
Total Debt	41.59M	41.59M	110.87M	90.64M	124.14M	108.31M
Total Liabilities	272.69M	272.69M	299.15M	305.78M	358.45M	311.56M
Stockholders Equity	250.72M	250.72M	229.96M	231.96M	232.17M	135.69M
Cash Flow
Free Cash Flow	26.62M	21.13M	2.25M	22.95M	42.67M	46.16M
Operating Cash Flow	27.54M	22.05M	2.92M	24.38M	51.69M	48.47M
Investing Cash Flow	-207.08M	-198.61M	6.71M	10.27M	-64.05M	2.65M
Financing Cash Flow	-16.09M	-16.09M	18.51M	-59.46M	105.41M	-48.04M

AUX International Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.33
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2080, the sentiment is Negative. The current price of 0.33 is below the 20-day moving average (MA) of 0.35, below the 50-day MA of 0.41, and below the 200-day MA of 0.34, indicating a bearish trend. The MACD of -0.02 indicates Negative momentum. The RSI at 33.40 is Neutral, neither overbought nor oversold. The STOCH value of 41.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2080.

AUX International Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2146	69 Neutral	HK$118.44M	3.90	5.00%	―	0.75%	-6.96%
2080	58 Neutral	HK$162.68M	5.68	11.05%	―	-2.14%	22.93%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
0287	53 Neutral	HK$163.20M	-1.85	-8.59%	3.43%	-4.92%	-199.32%
0459	48 Neutral	HK$216.63M	-3.14	-6.21%	―	-11.96%	-695.83%
6958	46 Neutral	HK$129.69M	-0.51	-24.03%	―	-0.04%	-104.98%
0183	45 Neutral	HK$98.64M	-1.48	-4.91%	―	30.19%	72.49%

AUX International Holdings Ltd. Corporate Events

AUX International Holdings Ltd. Reports Increased Interim Profits for 2025

AUX International Holdings Ltd. announced its unaudited consolidated results for the six months ended 30 September 2025, showing a profit increase from continuing operations compared to the same period in 2024. The company’s profit from continuing operations rose to HKD 18,041,000 from HKD 16,775,000, despite a slight decrease in revenue and other revenue. The results indicate a stable financial performance with a basic and diluted profit per share of 3.7 cents, up from 2.9 cents in the previous year.

The most recent analyst rating on (HK:2080) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on AUX International Holdings Ltd. stock, see the HK:2080 Stock Forecast page.

AUX International Holdings Schedules Board Meeting for Interim Results

AUX International Holdings Limited has announced a board meeting scheduled for November 27, 2025, to discuss and approve the interim results for the six months ending September 30, 2025. The meeting will also consider the payment of an interim dividend, which could impact the company’s financial outlook and shareholder returns.

The most recent analyst rating on (HK:2080) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on AUX International Holdings Ltd. stock, see the HK:2080 Stock Forecast page.